The deal cost Sunnyvale $1.1 billion, and ties Tumblr founder David Karp to the Internet firm for at least four years. He will retain a lot of control over the microblog which he founded in 2007–plus a great deal of cash. And Yahoo gets a taste of Tumblr’s cool factor. Social media reactions to the news are mixed:

Gutsy call: “Either this management team is going to turn Yahoo around or be the ones who squandered its asset base.” nytimes.com/2013/05/20/tec…

So, what’s in it for Tumblr, aside from user complaints that the site has sold out to the man? It gets access to Yahoo’s ad network. Karp had also been searching for a COO to help him with the “infrastructure” of the business.

Over on Tumblr, the wailing and teeth-gnashing was even more pronounced, with some people heralding the deal as the death of Tumblr, calling out Yahoo for its “mediocrity,” and generally being a less than optimistic about the deal.

What do you think? Is this a wise move by Yahoo, or is this a Tumblr deal-breaker for you?

About the author

My writing career has taken me all round the houses over the past decade and a half--from grumpy teens and hungover rock bands in the U.K., where I was born, via celebrity interviews, health, tech and fashion in Madrid and Paris, before returning to London, where I now live.
For the past five years I've been writing about technology and innovation for U.S